The Following Information Pertains to the Three Divisions of Marlow

Multiple Choice

The following information pertains to the three divisions of Marlow Company: $\begin{array}{lrrr}& \underline{\text { Division} X} & \underline{\text { Division } Y} & \underline{ \text { Division Z }}\\\text { Sales } & ? & ? & 1,250,000 \\\text { Net operating income } & \$ 36,000 & \$ 25,000 & \$ 75,000 \\\text { Average operating assets } & 300,000 & ? & ? \\\text { Return on investment } & ? & 20 \% & 15 \% \\\text { Margin } & 0.10 & 0.05 & ? \\\text { Turnover } & 1.5 & ? & ? \\\text { Target ROI } & 15 \% & 12 \% & 10 \%\end{array}$ What is the residual income for Division X?

A) $(36,000)
B) $(9,000)
C) $36,000
D) $45,000